Boeing to shop 777X production following IAM contract vote

US airframer Boeing Commercial Airplanes (NYSE: BA) said it will shop production of its upcoming 777X variant after union workers in its Puget Sound Washington production district voted down a long-term extension of their contract.

The workers in question are represented by the International Association of Machinists & Aerospace Workers District 751.

In a statement, Boeing said that its goal was to enable the 777X and its new composite wing to be produced in Puget Sound. The area is the historic home of Boeing production.

Washington Governor Jay Inslee and the Washington state legislature had intervened in the negotiation process in an attempt to bring the company and its workforce to terms.

The 777X is a proposed advanced variant of the wide-body twinjet 777 family.